Looking at the issue of key account management designation, we need to focus on the customer contribution to the metric. A pharmaceutical consultant must impress upon senior management that traditional measures used to define a client’s contribution are no longer adequate. There certainly was a time when money was not as much of an issue as it is now, the business world was much more straightforward and management could just look at monthly sales activity, or the level of market share, to determine just how important a particular client was in the overall scheme of things. Quite simply, the more money that came through this particular client pipeline, the more money in terms of time, effort and resources could be placed into the pot by the pharmaceutical company, to make sure that that client was likely to stay around.

Whenever customer relationship marketing comes under consideration, we learn from pharmaceutical marketing training that key account management is just one of several major areas that we need to focus on. While considering the management of key accounts, it’s important to analyse the customer portfolio, consider the lifetime value potential, an increasingly more important metric that should determine whether the life cycle is likely linked to a particular product, trend or other value. The pharmaceutical consultancy is well aware how key account management revolves around the ability to develop a meaningful relationship and it almost goes without saying that one size most definitely does not fit all, as far as this is concerned.

When it comes to customer contribution, this can often be rather difficult to quantify. Does the customer represent a strategic ally for the company? This is far from a straightforward analysis, as industrial politics could determine that a particular customer be designated as “key,” even though they may be far from one of the leading contributors to the overall financial pot. When it comes to lobbying activities or other somewhat intangible measurements, the company could be well advised to pay particular attention to this client, elevating them to a position alongside those who contribute far more significantly in financial terms.

Pharmaceutical marketing training must be able to recognise the diverse contributions that each and every client makes and how rather subtle elements could translate into potential benefits for the company. Does this mean that the pharmaceutical consultant must also be an expert in psychology and should seek to train all those who come into contact with these key accounts in the subtle nuances associated?

By some estimation, almost 2/3 of pharmaceutical companies in the market today still consider key account management to be largely ruled by sales volume. Clearly, there is considerable opportunity for the pharmaceutical consultancy here, to step in and educate the company and its representatives. As it becomes ever more difficult to adequately communicate with the end user, it follows that the company should become ever more strategic in the way that it micromanages its existing client base. Pharmaceutical marketing training will need to avoid the use of a broad brush in the future, but focus more on the touch of an artist repainting the Sistine Chapel, as key account management comes to terms with this new reality.

Alan Gillies is the Director of L2L Consulting, an elite pharmaceutical consultancy firm which specialises in Strategy Development and Implementation Excellence for prestigious multi-national organisations.

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